On 18 July 2017 Telegraaf Media Group (“TMG”) announced that she intends to sell Keesing Media Group (“KMG”) to Ergon Capital Partners III (“Ergon”).
TMG will stay involved as a shareholder with a 30% share in the new partnership. The enterprise value has been determined at €150 million.
De Central Works Council (“COR”) of TMG and the works council of KMG have together provided a positive advice in which the COR follows the intention to sell the shares of KMG to Ergon, including a positive advice on the financing of the transaction and the instalment of Mr Philip Alberdingk Thijm as CEO of KMG.
In this transaction, Lindenaar & Co has advised the COR and the KMG works council in the extensive analysis of financial, strategic and organisational effects of the transaction and financing.
TMG is one of the largest media companies in the Netherlands, with strong brands such as De Telegraaf, DFT, Telesport, Metro, Autovisie, Privé and VROUW; regional dailies such asNoordhollands Dagblad and de Gooi- en Eemlander; digital brands such as GeenStijl, Dumpert and Gaspedaal; Classic FM and – through a strategic collaboration – national radio stations Sky Radio, Radio Veronica, Radio 538 and Radio 10.
Keesing Media Group is the largest publisher in Europe in the area of puzzle magazines. KMG has a strong market position in the Netherlands and other European countries, among which France, Belgium and Denmark. The puzzle magazine have a circulation of 86 million copies annually and in 2016 KMG realised an EBITDA of €21.5 million on net revenues of €72.9 million.
Ergon Capital Partners is a mid-market private equity investment firm, backed by Sienna Capital, a subsidiary of Groupe Bruxelles Lambert (“GBL”), and other institutional investors. In its third fund Ergon manages EUR 500 million of assets. Ergon is a disciplined and discrete investor, that provides “patient and friendly” capital to entrepreneurs and managers in need of capital and industrial solutions to accelerate the growth of their companies.